Occupancy and rates hit new highs
Hoteliers have something to smile about at last, according to the latest figures from business advisers PKF and consultants Deloitte. PKF's figures for the month of March show healthy increases in both occupancy and room rate in London and the provinces.
London hotels saw occupancy rise 15.6% to 78.2%, while average room rate rose 10.1% to break through the £100 mark and hit £101.09. Rooms yield increased a significant 27.3% to £79.03 compared with £59.92 for the same period last year, 13.1% down on the 2002 figure.
Outside London, hoteliers saw occupancy rise 5.4% to 71.1% and average room rate increase 4% to £61.29, boosting rooms yield by 9.6% to £43.55. The regions were less affected by the Iraq war last year, seeing rooms yield drop only 0.1% (to £40.71) in March 2003.
Robert Barnard, hotel consultancy services director at PKF, said the hotel industry had reason to be happy with its performance. "London took a real battering last March, but the 27.3% rise in rooms yield proves that the steady work done over the last 12 months to build back occupancy and improve room rate has paid off."
Deloitte's HotelBenchmark Survey records an average occupancy of 74% in London hotels in the first three months of 2004, up by 8% on the same period last year. Average room rate was up by £5 to £89 and rooms yield increased by 14% to £65.
